Arkansas state leaders are raising alarms about a recent White House policy initiative on artificial intelligence (AI), arguing that it could render the state’s own AI regulations overly burdensome or even jeopardise access to federal funds.

The concern stems from a December 11 executive order by President Donald J. Trump aimed at establishing a uniform national AI policy framework and discouraging a patchwork of divergent state AI laws. 

Under the executive order, the federal government will evaluate existing state AI regulations and identify those considered inconsistent with national policy priorities; it also authorises the attorney general to form a task force to challenge laws perceived as conflicting with federal objectives.

In addition, the fact sheet accompanying the order indicates that some federal grant programs may condition funding on compliance with national AI policy goals and the absence of “burdensome” state AI rules. 

Arkansas has been a pioneer among U.S. states in passing AI governance laws.

In 2025, the legislature enacted a suite of measures including the Public Entity AI Policy Requirements Act, which mandates comprehensive AI use policies for public bodies, and other statutes establishing copyright protections and criminal penalties for harmful AI uses.

These laws reflect the state’s effort to protect citizens, clarify AI content ownership, and guard against exploitative or unsafe applications of emerging technologies. 

State representatives and lawmakers in Little Rock argue that Arkansas’s measured approach addresses real-world challenges posed by AI and fills a regulatory gap left by the absence of comprehensive federal legislation.

Some officials have expressed concern that the federal policy’s emphasis on averting regulatory fragmentation could discourage tailored state safeguards that protect children, personal data and local communities. 

While the federal AI Action Plan and executive order articulate a desire to reduce compliance costs and spur national innovation, the Arkansas leadership maintains that robust local AI safeguards remain essential.

Lawmakers have also noted that Congress previously removed a proposed ten-year moratorium on state AI regulation from federal budget legislation after widespread opposition from governors and attorneys general, underscoring enduring tension between state autonomy and federal pre-emption in the evolving AI policy landscape. 

With the federal government moving to define a national baseline for AI regulation, Arkansas officials are calling for clarity, cooperation and respect for state-level protections, even as they acknowledge the potential benefits of a coordinated national strategy for AI development and deployment.